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Business Lending Plummets to 1.5% Amid Bank Pullback

6/16/2025

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Summary

Story summary

Banks play a vital role in funding businesses, particularly those shut out from equity markets. However, since the introduction of Basel III, business lending has plummeted from over 6% to a mere 1.5% by January 2023. This decline is exacerbated by major banks like ANZ and Westpac pulling back on their support, leaving many businesses struggling for financial backing.

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Story summary

Banks play a vital role in funding businesses, particularly those shut out from equity markets. However, since the introduction of Basel III, business lending has plummeted from over 6% to a mere 1.5% by January 2023. This decline is exacerbated by major banks like ANZ and Westpac pulling back on their support, leaving many businesses struggling for financial backing.